How much home insurance a family needs
Sizing home insurance is where most households either overpay or under-protect. Structure cover at rebuild cost, not market value — land does not burn.
The sizing rule
Structure cover at rebuild cost, not market value — land does not burn.
Adjusting it for your household
Rules of thumb are starting points. A single-earner family with young children and a home loan needs more than a dual-income household with no dependants. Count what would still have to be paid if the worst happened — EMIs, school fees, living costs — and size the cover against the gap, not against a formula.
Reviewing it as life changes
Marriage, a child, a home loan, a job change, a parent moving in — each of these changes the number. A cover level set once and never revisited is usually wrong within five years.
Where FamTally comes in
FamTally holds every policy the family has — home insurance included — with sum assured, premium, frequency, renewal date and the members it covers. It totals your cover so gaps are obvious, puts premiums into your monthly cashflow, and reminds you ahead of each renewal. Free to use.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
What does home insurance cover?
Structure and contents against fire, theft and natural events. Widely under-bought in India relative to how much household wealth sits in property.
How much cover should we take?
Structure cover at rebuild cost, not market value — land does not burn.
What happens if it lapses?
Annual, often multi-year for structure-only policies.